is rupert murdoch damaged? >> i think rupert murdoch's been hugely damaged by this. >> reporter: charlie beckett of the london school of economics says murdoch's image as an all- conquering media tycoon has been undercut by questions. >> why didn't he know? why didn't he do something about it? who's in charge of news corporation? >> reporter: rupert murdoch built the news corporation from a single family-owned newspaper in south australia. in the 1960s he moved into britain, buying up the "news of the world" and later the "times" of london. in the '70s he took aim at new york where he'd add the "new york post" and the "wall street journal." his satellite t.v. empire includes the fox network in the u.s., sky in europe, star tv in asia. >> i love the free market. it's certainly been very good to me. >> reporter: but the same market is now punishing him, while stock in news corporation rebounded today, it's fallen 12% since the scandal began. >> my company has 52,000 employees. i have led it for 57 years and i hav